Unit 1: Introduction to the Real Estate Business
Key Terms:
Real Estate: A Business of Many Specializations
-Brokerage is the business of bringing people together in a real estate transaction – a licensed
real estate broker acts as a point of contact between two or more people in negotiating the sale,
purchase, or rental property
● Broker: a person or company licensed to buy, sell, exchange, or lease real property for
others and to charge a fee for these services
● Salesperson: a licensed person employed by or associated with the broker to perform
brokerage activities on behalf of the broker
● Real Estate Licensee: a person who has satisfied the requirements of a licensing agency,
as authorized by state legislation
● Any funds you receive from commission must come from YOUR broker
-Appraisal
CMA: comparative market analysis (looking at house similar in style and structure, recently sold
in the area)
-Property Management
-Financing
-Subdivision and Development
-Home Inspection
By law, a seller must fill out a seller's disclosure of any defects or repairs they are aware of
As soon as your offer is accepted and signed by both parties, the seller has 10 business days to do
any and all inspections
-Counseling
-Education
-Other Areas
Types of Real Property
● Residential
● Commercial
● Mixed-Use
● Industrial
● Agriculture
● Special Purpose
Types of Housing
● Single-Family Detached House
● Apartment Building
● Condominium
● Cooperative
● Planned Unit Developments (PUDs)
● Mixed-Use Development (MUDs)
● Converted-Use Properties
● Factory-Built Housing
● Modular Home